FX.co ★ Goldman Sachs: BTC unlikely to become store of value

Good news is often a double-edged sword. Thus, while many people praise bitcoin, there are skeptics who try to warn crypto enthusiasts against investing heavily in the cryptocurrency.

The team of experts at Goldman Sachs advises investors against transferring their assets to bitcoins. They believe that the digital coin is not a store of value due to its wild price swings. Moreover, this fact will not allow BTC to become a fully-fledged means of payment, experts say.

"Something with a long-term volatility of 80% can't be considered a medium of exchange," Sharmin Mossavar-Rahmani, head of consumer and investment management at Goldman Sachs, said. "Just because everybody piles into an idea and talks it up doesn't mean it's a store of value."

Meanwhile, the electric car company run by Elon Musk, Tesla, has bought $1.5 billion in bitcoin, pushing its price to a new record high of $48K. "I do at this point think bitcoin is a good thing, and I am a supporter of bitcoin," Musk said. His statement was enough for bitcoin to instantly jump by several thousand dollars.